Notes to Accounts of Glenmark Pharmaceuticals Ltd.

Mar 31, 2015

1. As at 31 March 2015, 164,800 options were outstanding under
Employee Stock Option Scheme 2003. On exercise of the options so
granted under Employee Stock Option Scheme 2003, the paid-up equity
share capital of the Company will increase by equivalent number of
shares.

2. Right, preference and restriction on shares

The Company presently has only one class of ordinary equity shares. For
all matters submitted to vote in the shareholders meeting, every holder
of ordinary equity shares, as reflected in the records of the Company
on the date of the shareholders' meeting, has one vote in respect of
each share held. All shares are equally eligible to receive dividends
and the repayment of capital in the event of liquidation of the
Company.

3. In the period of five years immediately preceeding 31 March 2015,
the Company has not allotted any shares as fully paid up pursuant to
contracts without payment being received in cash. Further, the Company
has neither issued bonus shares nor bought back any shares during the
aforementioned period.

4. Employee Stock Option Scheme, 2003 (ESOS)

The Company has formulated an Employee Stock Option Scheme ('ESOS')
scheme namely ESOS 2003 under which it has made grants on various dates
from time to time. Each grant has a vesting period which varies from 1
- 2 years and up to 4 - 6 years from the date of grant depending on the
terms of the grant. The grants are made at the market price of the
equity shares of the Company on either the date or the closing price of
the date prior to day of the grant.

(i) Income received in advance represents advance received from
customers for future supply of materials. The Company has recognised an
income of Rs. 344.95 (2014 - Rs. 213.45) in current year and will
recognise the balance amount in the coming periods. Refer note no. 7
for amount recognisable in one year.

(ii) Glenmark Pharmaceuticals Inc., USA (Formerly known as Glenmark
Generics Inc., USA) (subsidiary of the Company) has settled dispute
resolution with attorney general of the State of Texas (USA) on 7 April
2015. Under the settlement agreement, Glenmark will pay the State of
Texas a total of USD13.75 million (including USD 2.5 million for
attorneys' fees and costs) for the State's general revenue fund and USD
11.25 million to the federal government. Total liability is USD 25
million (Rs. 1,562.37). Payment will be made in 16 equal payments of
USD1.5625 million each quarter for the next 16 quarters commencement
from1 April 2015. Amount due in the next 12 months is USD 6.25 million
(Rs. 390.59) which is recognised as current liability. As per the
agreement between the Company and Glenmark Pharmaceuticals Inc.,
Company will reimburse such expenses to the Glenmark Pharmaceuticals
Inc.

Legal expense incurred by the subsidiary amounting to USD 2.00 million
(Rs. 125.00) is recognised as payable to subsidiaries in trade
payables.

31 March 2015 31 March 2014

5. CONTINGENT LIABILITIES AND
COMMITMENTS NOT PROVIDED FOR

(i) Contingent Liabilities

(a) Claims against the company not
acknowledged as debts

Labour dispute 9.75 0.07

Disputed taxes and duties 223.92 123.96

(b) Guarantees

Bank guarantees 73.82 60.18

Letter of comfort on behalf of
subsidiaries

Glenmark Distributors SP z.o.o., 218.73 721.08
Poland

Glenmark Generics Ltd., India - 1,500.00

Glenmark Holding S. A., 34,684.73 25,237.80
Switzerland

Glenmark Impex L.L.C., Russia 2,608.59 2,297.07

Glenmark Farmaceutica Ltda., Brazil 1,374.89 1,111.67

Glenmark Pharmaceuticals S.R.L., 68.27 562.94
Romania

Glenmark Pharmaceuticals S.R.O., 249.98 480.72
Czech Republic

Glenmark Pharmaceuticals SK, s.r.o., - 135.20
Slovak Republic

Glenmark Generics Finance S. A., 12,925.98 -
Switzerland

(c) Others

Open letters of credit 827.87 223.22

Indemnity bonds for Customs 2,775.23 393.71

6. In January 2014, the National Pharma Pricing Authority (NPPA)
issued a demand notice of Rs. 150 towards overpricing of product
"Doxovent 400 mg tab". The Company has filed a petition under Article
32 with the Hon'ble Supreme Court of India (Hon'ble Court), challenging
the issue of the above mentioned demand notice on various grounds. This
petition has been tagged alongwith another petition filed by another
pharmaceutical company, pending before supreme court relating to the
inclusion criteria of certain drugs including "Theophylline" in the
schedule of the DPCO, 1995, both matters are sub-judice before the
Hon'ble Court.

The Hon'ble Court passed an ad-interim order staying any coercive steps
against the Company.

The Hon'ble Court has constituted a special bench to hear the petition
(along with other petitions filed in this regard) and the matter is
expected to be listed in due course.

The company based on legal advise, does not forsee any liability
devolving in this regard.

7. Merck Sharp & Dohme Pharmaceuticals Private Limited ('Merck'), the
Indian affiliate of Merck & Co. Inc., USA had filed a suit for
infringement and was seeking permanent injunction in the Hon'ble High
Court at Delhi to restrain the Company from manufacturing and sale of
generic versions of Merck's product Januvia (Sitagliptin Phosphate
Monohydrate). The petition was dismissed by the single bench of the
Hon'ble High Court at Delhi and Merck had filed an appeal before the
divisional bench of the Hon'ble High Court at Delhi. On 20 March 2015,
the High Court of Delhi injuncted the Company from making and marketing
the product Zita and Zita-Met.

The Hon'ble Supreme Court of India on Special Leave Petition filed by
the Company directed the trial to be expedited and completed by 30 June
2015 and daily hearing before Single Judge, Delhi High Court from 6
July 2015.

The Supreme Court permitted the Company to continue selling the
existing stock while restrained from further manufacturing of the said
products.

8. Commitments

(a) Estimated amount of contracts remaining to be executed on capital
account, net of advances, not provided for as at 31 March 2015
aggregate Rs. 485.18 (2014 - Rs. 590.05).

(b) Estimated amount of contracts remaining to be executed on other
than capital commitment, net of advances, not provided for as at 31
March 2015 aggregate Rs. 2,260.74 (2014 - Rs. 203.94).

9. SEGMENT INFORMATION

Business segments

The Company is primarily engaged in a single segment business of
pharmaceuticals and is managed as one entity, for its various
activities and manufacturing and marketing of pharmaceuticals is
governed by a similar set of risks and returns.

10. RELATED PARTY DISCLOSURES

In accordance with the requirements of Accounting Standard - 18
"Related Party Disclosures", the names of the related parties where
control exists and/or with whom transactions have taken place during
the year and description of relationships, as identified and certified
by the management are as follows:

Based on the information available with the Company, no creditors have
been identified as "supplier" within the meaning of "Micro, Small and
Medium Enterprises Development (MSMED) Act, 2006". Accordingly, no
disclosure under the MSMED Act are required to be given.

12. LEASES

The Company has taken on lease/leave and licence godowns/residential &
office premises at various locations in the country.

i) The Company's significant leasing arrangements are in respect of the
above godowns & premises (including furniture and fittings therein, as
applicable). The aggregate lease rentals payable are charged to
Statement of Profit and Loss as Rent.

ii) The Leasing arrangements which are cancellable range between 11
months to 5 years. They are usually renewable by mutual consent on
mutually agreeable terms. Under these arrangements, generally
refundable interest free deposits have been given. An amount of Rs.
105.42 (2014 - Rs. 100.43) towards deposit and unadjusted advance rent
is recoverable from the lessors.

13. TAXATION

Provision for current taxation for the Company of Rs. 2,801.69
represents Minimum alternate tax pursuant to the provisions of Section
115JB of the Income Tax Act, 1961 of India.

The Finance Act, 2005 inserted sub-section (1A) to section 115JAA to
grant tax credit in respect of MAT paid under Section 115JB of the Act
with effect from Assessment Year 2006-07 and carry forward the credit
for a period of 10 years. In accordance with the Guidance Note issued
on "Accounting for credit available in respect of Minimum Alternative
Tax (MAT) under the Income Tax Act 1961" by the Institute of the
Chartered Accountants of India, the Company has recognised MAT Credit
which is expected to be set-off against the tax liability, other than
MAT in future years. Accordingly, an amount of Rs.526.92 for the
current year has been recognised as MAT Credit Entitlement.

14. RESEARCH AND DEVELOPMENT EXPENDITURE

During the year, the Company expensed Rs. 2,773.14 (2014 - Rs.
1,213.55) towards research and development costs.

15. SUBSEQUENT EVENTS

The Company in its meeting of Preferential Issue Committee of the Board
of Directors held on May 19, 2015, has allotted 10,800,000 Equity
Shares of the face value of Rs. 1/- each at a price of Rs. 875 per
equity share to Aranda Investments (Mauritius) Pte. Ltd., on
preferential basis in terms of Chapter VII of SEBI (ICDR) Regulations
and the applicable sections of the Companies Act, 2013.

16. In terms of proviso to Clause 3(i) of Part A of Schedule II to the
Companies Act, 2013 (the Act), the Company has based on a technical
evaluation decided to adopt useful life for various fixed assets, which
are in certain cases, different from those prescribed in Schedule II to
the Act. The useful life of an asset is not ordinarily different from
the useful life specified in Part C and the residual value of an asset
is not more than five per cent of the original cost of the asset. The
impact of Such change will decrease profit byRs. 69.13 for FY 2014-15.

17. PRIOR YEAR COMPARATIVES

The current year figures are not comparable with that of the
corresponding previous year due to Merger of Glenmark Generics Ltd. and
Glenmark Access Ltd. with the Company during the year. (Refer Note 1A)
Prior year's figures have been regrouped or reclassified wherever
necessary to confirm to current year's classification.

Mar 31, 2014

1. CONTINGENT LIABILITIES AND COMMITMENTS NOT PROVIDED FOR

31 March 2014 31 March 2013

(i) Contingent Liabilties

(a) Claims against the Company not acknowledged as debts

- Labour dispute 0.07 0.06

- Disputed taxes and duties 123.96 105.78

(b) Guarantees

Bank guarantees 60.18 41.39

Letter of comfort on behalf of
subsidiaries, to the extent of limits 32,046.48 24,286.73

(c) Others

Open letters of credit 223.22 18.64

Indemnity bonds 393.71 374.57

(d) In January 2014, the National Pharma Pricing Authority (NPPA)
issued a demand notice ofRs. 150 towards overpricing of product "Doxovent
400 mg tab". The Company has filed a petition under Article 32 with the
Hon''ble Supreme Court of India (Hon''ble Court), challenging the issue
of the above mentioned demand notice on various grounds, primarily,
that inclusion of "Theophylline" in the schedules of DPCO, 1995 is
sub-judice before the Hon''ble Court.

The Hon''ble Court passed an ad-interim order staying any coercive steps
against the Company and directed the matter be tagged along with the
petition on the inclusion of "Theophylline" in the Schedule of DPCO,
1995. The Hon''ble Court has constituted a special bench to hear the
petition (along with other petitions filed in this regard) and the
matter is expected to be listed in due course.

(ii) Commitments

(a) Estimated amount of contracts remaining to be executed on capital
account, net of advances, not provided for as at 31 March 2014
aggregate X 590.05 (2013 - X 264.03).

(b) Estimated amount of contracts remaining to be executed on other
than capital commitment, net of advances, not provided for as at 31
March 2014 aggregate X 203.94 (2013 - X 209.26).

2. EARNINGS PER SHARE

Basic earnings per share is calculated by dividing the net profit for
the year attributable to equity shareholders by the weighted average
number of equity shares outstanding during the year.

For the purpose of calculating diluted earnings per share, the weighted
average number of shares outstanding are adjusted for the effects of
all dilutive potential equity shares from the exercise of options on
unissued share capital.

3. SEGMENT INFORMATION

Business segments

The Company is primarily engaged in a single segment business of
formulations and is managed as one entity, for its various activities
and manufacturing and marketing of pharmaceuticals is governed by a
similar set of risks and returns.

Geographical segments

In the view of the management, the Indian and export markets represent
geographical segments.

Revenue by market - The following is the distribution of the Company''s
sale (of products and services) by geographical markets (gross of
excise duty and sales tax):

4. RELATED PARTY DISCLOSURES

In accordance with the requirements of Accounting Standard - 18
"Related Party Disclosures", the names of the related parties where
control exists and/or with whom transactions have taken place during
the year and description of relationships, as identified and certified
by the management are as follows:

5. OUTSTANDING DUES TO MICRO, SMALL AND MEDIUM SCALE BUSINESS
ENTERPRISES

Based on the information available with the Company, no creditors have
been identified as "supplier" within the meaning of "Micro, Small and
Medium Enterprises Development (MSMED) Act, 2006". Accordingly, no
disclosure under the MSMED Act are required to be given.

6. LEASES

The Company has taken on lease/leave and licence godowns/residential &
office premises at various locations in the country.

i) The Company''s significant leasing arrangements are in respect of the
above godowns & premises (including furniture and fittings therein, as
applicable). The aggregate lease rentals payable are charged to
Statement of Profit and Loss as rent.

ii) The Leasing arrangements which are cancellable range between 11
months to 5 years. They are usually renewable by mutual consent on
mutually agreeable terms. Under these arrangements, generally
refundable interest free deposits have been given. An amount of Rs.
100.43 (2013 - Rs. 98.62) towards deposit and unadjusted advance rent is
recoverable from the lessors.

The Company has entered into operating lease agreements for the rental
of its office premises for a period of 3 to 5 years.

7. TAXATION

Provision for current taxation for the Company of Rs. 1,080.21 represents
Minimum Alternate Tax pursuant to the provisions of Section 115JB of
the Income Tax Act, 1961 of India.

The Finance Act, 2005 inserted sub section (1A) to Section 115JAA to
grant tax credit in respect of MAT paid under Section 115JB of the Act
with effect from Assessment Year 2006-07 and carryforward the credit
for a period of 10 years. In accordance with the Guidance Note issued
on "Accounting for credit available in respect of Minimum Alternative
Tax (MAT) under the Income Tax Act, 1961" by the Institute of the
Chartered Accountants of India, the Company has recognised MAT Credit
which is expected to be set-off against the tax liability, other than
MAT in future years. Accordingly, an amount of Rs. 477.56 for the current
year has been recognised as MAT Credit Entitlement in note 11.

8. EMPLOYEE BENEFITS

The disclosures as required as per the revised AS 15 are as under:

1. Brief description of the Plans

The Company has various schemes for long-term benefits such as
Provident Fund, Superannuation, Gratuity and Compensated absences. In
case of funded schemes, the funds are recognised by the Income tax
authorities and administered through appropriate authorities. The
Company''s defined contribution plans are Superannuation and Employees''
Provident Fund and Pension Scheme (under the provisions of the
Employees'' Provident Funds and Miscellaneous Provisions Act, 1952)
since the Company has no further obligation beyond making the
contributions. The Company''s defined benefit plans include Gratuity
benefit.

9. RESEARCH AND DEVELOPMENT EXPENDITURE

During the year, the Company expensed Rs. 1,213.55 (2013 - Rs. 929.44) as
research and development costs.

10. Disclosure of Assets and Liabilities as on 31 March 2014 and Income
and Expenses for the year ended 31 March 2014 related to the interest
of the Company in the joint venture Clenmark Pharmaceuticals (Thailand)
Co. Ltd, Thailand. These extracts have been drawn up from the audited
financial statements of the joint venture, without giving effect to the
elimination of transactions between the Company and the joint venture.

11. OTHER EVENTS

(i) The Board of Directors of Clenmark Pharmaceuticals Limited ("GPL"),
in their meeting held on 31 January 2014, have approved a proposal to
merge its subsidiaries i.e. Clenmark Generics Limited ("CCL") and
Clenmark Access Limited ("GAL"), with GPL.

The merger will be effected through a court approved Scheme of
Amalgamation under Sections 391 to 394 and other applicable provisions
of Companies Act, 1956 ("Scheme"). As on date, 99.33% of the share
capital of CGLis being held by GPL (including 1.19% being held by GAL,
a wholly owned subsidiary of GPL). As per the Scheme, the remaining
shareholders holding 0.67% (1,016,741 equity shares) of the share
capital of GCL will be issued shares of GPL at a swap ratio which has
been determined as 4 shares of GPL of Rs. 1 each for every 5 shares of Rs.
10 each held by shareholders of GCL. The Company has initiated
necessary legal process to conclude the merger. The accounting effect
of the merger shall be given only upon receipt of all regulatory
approvals and necessary submissions to relevant authorities.

(ii) Merck Sharp & Dohme Pharmaceuticals Private Limited (''Merck''), the
Indian affiliate of Merck & Co. Inc., USA had filed a suit for
infringment and was seeking permanent injunction in the Hon''ble High
Court at Delhi to restrain Clenmark from manufacturing and sale of
generic versions of Merck''s product Januvia (Sitagliptin Phosphate
Monohydrate). The petition was dismissed by the single bench of the
Hon''ble High Court at Delhi and Merck has now filed an appeal before
the divisional bench of the Hon''ble High Court at Delhi, which is
pending orders. Based on legal advice, the management is of the opinion
that no liability is likely to devolve on the Company.

12. PRIOR YEAR COMPARATIVES

Prior year''s figures have been regrouped or reclassified wherever
necessary to confirm to current year''s classification.

Mar 31, 2013

1. Earnings per share

Basic earnings per share is calculated by dividing the net profit for
the year attributable to equity shareholders by the weighted average
number of equity shares outstanding during the year.

For the purpose of calculating diluted earnings per share, the weighted
average number of shares outstanding are adjusted for the effects of
all dilutive potential equity shares from the exercise of options on
unissued share capital.

The calculations of earnings per share (basic and diluted) are based on
the earnings and number of shares as computed below.

2. Segment Information Business segments

The Company is primarily engaged in a single segment business of
formulations and is managed as one entity, for its various activities
and manufacturing and marketing of pharmaceuticals is governed by a
similar set of risks and returns.

3. Related Party Disclosures

In accordance with the requirements ofAccounting Standard -18
"Related Party Disclosures", the names of the related parties where
control exists and/or with whom transactions have taken place during
the year and description of relationships, as identified and certified
by the management are as follows:

4. Outstanding Dues to Micro, Small and Medium Scale Business
Enterprises

The Company has not received any information from the "suppliers"
regarding their status under the Micro, Small and Medium Enterprises
Development Act, 2006 and hence disclosures, if any, relating to the
amounts as at year-end together with interest paid/payable as required
under the said Act have not been given.

5. Leases

The Company has taken on lease/ leave and licence godowns/ residential
& office premises at various locations in the country.

i) The Company''s significant leasing arrangements are in respect of
the above godowns & premises (including furniture and fittings therein,
as applicable). The aggregate lease rentals payable are charged to
Statement of Profit and Loss as Rent.

ii) The Leasing arrangements which are cancellable range between 11
months to 5 years. They are usually renewable by mutual consent on
mutually agreeable terms. Under these arrangements, generally
refundable interest free deposits have been given. An amount ofRs.
98.62 (2012 -Rs. 99.32) towards deposit and unadjusted advance rent is
recoverable from the lessor.

6. Taxation

Provision for current taxation for the Company of Rs. 656.97 represents
Minimum Alternate Tax pursuant to the provisions of Section 115JB of
the Income Tax Act, 1961 of India. The Finance Act, 2005 inserted
sub-section (1A) to Section 115JAA to grant tax credit in respect of
MAT paid under Section 115JB of the Act with effect from Assessment
Year 2006-07 and carry forward the credit for a period of 10 years. In
accordance with the Guidance Note issued on "Accounting for credit
available in respect of Minimum Alternative Tax (MAT) under the Income
Tax Act, 1961" by the Institute of the Chartered Accountants of
India, the Company has recognised MAT Credit which is expected to be
set-off against the tax liability, other than MAT in future years.
Accordingly, an amount of Rs. 656.97 for the current year and has been
recognised as MAT Credit Entitlement in Note 13.

7. Employee Benefits

The disclosures as required as per the revised AS 15 are as under:

1. BriefdescriptionofthePlans

The Company has various schemes for long-term benefits such as
Provident Fund, Superannuation, Gratuity and Compensated absences. In
case of funded schemes, the funds are recognised by the Income tax
authorities and administered through appropriate authorities. The
Company''s defined contribution plans are Superannuation and
Employees'' Provident Fund and Pension Scheme (under the provisions of
the Employees'' Provident Funds and Miscellaneous Provisions Act,
1952) since the Company has no further obligation beyond making the
contributions. The Company''s defined benefit plans include Gratuity
benefit.

8. Research and development expenditure

During the year, the Company expensed Rs. 929.44 (2012 -Rs. 759.57) as
research and development costs.

9. Extracts of Assets and Liabilities as on 31 March 2013 and Income
and Expenses for the year ended 31 March 2013 related to the interest
of the Company (without elimination of the effect of transactions
between the Company and Glenmark Pharmaceuticals (Thailand) Co. Ltd.,
Thailand) have been extracted from the audited financial statements:

10. Other Events

Merck Sharp & Dohme Pharmaceuticals Private Limited (''Merck''), the
Indian affiliate of Merck & Co. Inc., USA had filed a decree for
permanent injunction in the Hon''ble High Court at Delhi to restrain
Glenmark Pharmaceuticals Limited from manufacture and sale of generic
versions of Merck''s product Januvia (Sitagliptin Phosphate) alleging
patent right infringement. The petition was dismissed by the single
bench of the Hon''ble High Court at Delhi and Merck has now filed an
appeal before the divisional bench of the Hon''ble High Court at
Delhi, which is pending hearing. Based on a legal advice, the
management is confident that no liability is likely to devolve on the
Company.

11. Prior Year Comparatives

Prior year''s figures have been regrouped or reclassified wherever
necessary to confirm to current year''s classification.

Mar 31, 2012

31 March
2012 31 March
2011

1. Contingent Liabilities and Commitments
not provided for

(i) Contingent Liabilties

(a) Claims against the Company not
acknowledge as debts

- Labour Dispute 0.09 0.15

- Disputed Taxes and Duties 154.47 27.37

(b) Guarantees

Bank guarantees 19.63 20.28

Letter of comfort on behalf of subsidiaries,
to the extent of limits 15,925.54 5,687.13

The Company's subsidiary, Glenmark Generics Inc., U.S.A (GGI) (formerly
known as Glenmark Pharmaceuticals Inc., U.S.A.) (GPI) on 02 June 2006
has entered into an Agreement with Paul Royalty Fund Holdings II (PRF)
pursuant to which, PRF will pay up to USD 27 millions to GGI for the
development and commercialisation of certain products for the US
market. Further, the Company has entered into a Master Services,
License, Manufacturing and Supply Agreement with GGI to develop and
manufacture the aforesaid products, and also issued a financial
guarantee in favour of PRF for an amount not exceeding USD 27 millions
for the benefits under the said agreement. During the year, Glenmark
Generics Inc., U.S.A (GGI) has paid Paul Royalty Fund Holdings II (PRF)
an amount of Rs 1,316.80 (USD 28.8 millions) pursuant to its contractual
obligation and the same has been charged to the statement of profit and
loss.

(ii) Commitments

(a) Estimated amount of contracts remaining to be executed on capital
account, net of advances, not provided for as at 31 March 2012
aggregate Rs 736.42 (2011 - Rs 233.78)

(b) Estimated amount of contracts remaining to be executed on other
than capital commitment, net of advances, not provided for as at 31
March 2012 aggregate Rs 615.06 (2011 - Rs 184.39)

2. Earnings Per Share

Basic earnings per share is calculated by dividing the net profit for
the year attributable to equity shareholders by the weighted average
number of equity shares outstanding during the year.

For the purpose of calculating diluted earnings per share, the weighted
average number of shares outstanding are adjusted for the effects of
all dilutive potential equity shares from the exercise of options on
unissued share capital. The calculations of earnings per share (basic
and diluted) are based on the earnings and number of shares as computed
below.

3. Segment Information Business segments

The Company is primarily engaged in a single segment business of
formulations and is managed as one entity, for its various activities
and manufacturing and marketing of pharmaceuticals is governed by a
similar set of risks and returns.

Geographical segments

In the view of the management, the Indian and export markets represent
geographical segments.

Revenue by market - The following is the distribution of the Company's
sale by geographical market:

4. Related Party Disclosures

In accordance with the requirements of Accounting Standard - 18
"Related Party Disclosures", the names of the related parties where
control exists and/or with whom transactions have taken place during
the year and description of relationships, as identified and certified
by the management are as follows:

The Company has taken on lease/leave and licence godowns/residential
and office premises at various locations in the country.

i) The Company's significant leasing arrangements are in respect of the
above godowns and premises (including furniture and fittings therein,
as applicable). The aggregate lease rentals payable are charged to
Statement of Profit and Loss as Rent.

ii) The Leasing arrangements which are cancellable range between 11
months to 5 years. They are usually renewable by mutual consent on
mutually agreeable terms. Under these arrangements, generally
refundable interest free deposits have been given. An amount of Rs 99.32
(2011 - Rs 83.35) towards deposit and unadjusted advance rent is
recoverable from the lessor.

The Company has entered into operating lease agreements for the rental
of its office premises for a period of 3 to 5 years.

6. Taxation

Provision for current taxation for the Company of Rs 554.00 represents
Minimum Alternate Tax pursuant to the provisions of Section 115JB of
the Income Tax Act, 1961 of India. The Finance Act, 2005 inserted
sub-section (1A) to section 115JAA to grant tax credit in respect of
MAT paid under Section 115JB of the Act with effect from Assessment
Year 2006-07 and carry forward the credit for a period of 10 years. In
accordance with the Guidance Note issued on "Accounting for credit
available in respect of Minimum Alternative Tax (MAT) under the Income
Tax Act 1961" by the Institute of the Chartered Accountants of India,
the Company has recognised MAT Credit which is expected to be set-off
against the tax liability, other than MAT in future years. Accordingly,
an amount of Rs 374.73 for the current year has been recognised as MAT
Credit Entitlement in Note 13.

7. Employee Benefits

The disclosures as required as per the revised AS 15 are as under:

1. Brief description of the Plans

The Company has various schemes for long-term benefits such as
Provident Fund, Superannuation, Gratuity and Compensated absences. In
case of funded schemes, the funds are recognised by the Income tax
authorities and administered through appropriate authorities. The
Company's defined contribution plans are Superannuation and Employees'
Provident Fund and Pension Scheme (under the provisions of the
Employees' Provident Funds and Miscellaneous Provisions Act, 1952)
since the Company has no further obligation beyond making the
contributions. The Company's defined benefit plans include Gratuity and
Compensated absences.

8. Prior Year Comparatives

During the year ended 31 March 2012 the revised schedule VI notified
under the Companies Act,1956, has become applicable to the Company. The
company has reclassified previous year figures to confirm to this
year's classification. The adoption of revised schedule VI does not
impact recognition and measurement principles followed for preparation
of financial statements. However, it significantly impacts presentation
and disclosure made in the financial statements.

9. Extracts of Assets and Liabilities as on 31 March 2012 and Income
and Expenses for the year ended 31 March 2012 related to the interest
of the Company (without elimination of the effect of transactions
between the Company and Glenmark Pharmaceuticals (Thailand) Co. Ltd.,
Thailand) have been extracted from the audited financial statements: